Friday, August 01, 2008
Eliminating Withholding Only a Good First Step
Saratoga Springs, NY, July 31, 2008--At last horseplayers might be getting a tax break. The operative word here is might: Horseplayers are held in the same contempt as smokers, this is an election year, and we are in a recession.
(Sorry, didn’t mean to whine about the economy).
Aside from the obvious benefits, the more significant news is that NTRA’s lobbying efforts appear to be bearing fruit. The proposed legislation is the first stand-alone bill addressing the issue. It would place horse-race winnings on the same playing-field as tax codes for lottery and keno games.
Horseplayers are the only group that are taxed on winnings automatically. Maybe it’s because track winnings require thinking, a kind of brain power tax.
The only thing we didn’t fully understand from on-line reports is that NTRA vice-president of legislative affairs Peggy Hendershot will now commission a study on the economic impact eliminating automatic withholding would have on the racing industry.
“Congressman, this is a racetrack. This is churn. Are you still with me?”
And never mind that parimutuel takeout withholding is built into the odds and payoffs, meaning that horseplayers are taxed twice.
Neither is it taken into account that bettors, super-exotic players in particular, might spend $1,000 to win $20,000. Math is not a strong suit but I don’t think that’s the equivalent of the 300-1 standard upon which the tax is levied.
Lobbyists are now looking for co-sponsors for the bill before Congress comes back into session in September.
If the NTRA and racing’s lobbyists ultimately have success in eliminating this regressive levy, maybe then they could start working on parimutuel takeout, withholding that affects all players.
That would have a far greater positive impact on growing the handle that finds its way into government coffers. Lowering takeout would be a positive for everybody.
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Six Rivals for Big Brown in Sunday’s Haskell: Kentucky Derby and Preakness winner will face a half dozen rivals at Monmouth Park in Sunday’s million-dollar Haskell. From the rail: Magical Frost (J. Chavez) 10-1, Cool Coal Man (E. Castro) 4-1, Alaazo (J. Lezcano) 30-1, Big Brown (K Desormeaux) 1-2, Nistle’s Crunch (E. Trujillo) 15-1, Coal Play (J. Bravo) 8-1 and Atoned (E. Prado) 6-1.
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First Race: Four of the seven members of the Jonathan Kiser Novice Stakes were either winners or horses that placed in graded stakes and the 2-1/16th miles was entertaining from end to end, four horses battling head to head after clearing the last of nine fences. But is was Danielle Hodsdon who got through on the fence with Jonathan Sheppard’s well named The Price of Love (Prenup, from the Caveat mare, Solitary Signal) to win it. Longshot Red Letter Day set all the pace, under pressure for the last half of the race, and was still battling at the finish. Favorite Be Certain came between horses after the last jump for place as Bee Charmer, who made a premature move to chase the frontrunner, was a very game third. Bet him back.
Second Race: A big time speed duel between Asmussen and Pletcher babies, Asmussen winning the battle and the war with second-time starter Valiancy. Todd’s Keep’em Movin Dan was well clear of Fast Draw for third and should benefit from the experience; note.
Third Race: Redefined simply keeps running well in these turf sprints and get his first win over this course as clearly best. Favorite Hatta Fort raced covered up rounding the turn and through the stretch and never really had a chance to gain momentum; probably will make amends soon, follow.
Fourth Race: This condition shouldn’t exist in Saratoga; maiden fillies, 3 & up, with claiming tags of $25,000. Reduced by two late scratches, six remained, with Isn’t That Special proving best for trainer Michael McDonald under a hustling Cornelio Velasquez. Prominent finished gamely in deep stretch for the place, as another well named runner gets home first: Isn’t That Special is a bay daughter of The Church Lady.
Fifth Race: Oh, look, a 5-½ furlong turf sprint. What a novel idea; NOT. Unless, of course, you’re part of the Tim Ritvo team and had this spot circled since last August 10. Lauren’s Go Go went to the front and :21.86 and kept right on going as Miss Dolan’s Rose chased her every step of the way and nearly grabbed her at the finish. But Ramon got down low for the stable dough, only Dominguez’s second winner of the meet. The Longshot runnerup with extremely game and could have a future sprinting on turf vs. her state-bred peers...Better Than Swiss finished well too late for third; note.
Sixth Race: Storming Off, an allowance winner last time out at Monmouth, showed up at the Spa with a claiming tag and totally dominated $45,000 platers. But he was all out to hold away over turf debut Deputyville, not particularly bred well for grass but who raced his final sixteenth in less than six seconds. Pays to follow Deputyville and show finisher Galaxy Tax, who also finished strongly as the pace was heating up. The winner appeared to shorten stride perceptibly while pulling up after the finish. Todd might have gotten away with one here but I wouldn’t be looking to bet her back, first winner of the afternoon for Spa leader Johnny V.
Seventh Race: The Kal Kan Pet Products purse--no kidding--went to Encinas, for Team McLaughlin/Garcia, young Alan winning it by skimming up the fence. During the running, Velazquez and Eibar Coa, racing in stalking position, second and third, were so busy tabbing each other they were powerless to shut the door on Garcia. It was a good comeback run for Ground Hero, making his season’s debut as an 8-year-old. He needed a race before getting the money at the Spa in 2007; different year, but same story: follow.
Eighth Race: The speedy Latest Scoop seemed to be unhappy in her new blinkers, breaking sharply then bearing out into the first turn, chasing the pace from the outside throughout; look for equipment change next out. The pace was strong in this preliminary allowance/optional claimer, allowing Borrowing Base to rally down the center of the track for Javier Castellano and Patrick Quick at 11-1... Favorite Pious Ashley, making her first start since the Black Eyed Susan, took the lead into the stretch and tired as if short of condition; follow. All the crowding at the three-sixteenth didn’t affect the outcome. Despite not posting formal inquiry, stewards did take a look.
The John Morrissey: With Market Psychology scratched, Ferocious Fires towered over the group and went out and proved it. He handled pace pressure throughout and, soon after entering the stretch, Cornelio Velasquez pulled the rug out from beneath the ralliers and left them gasping, a triple on the day for Cornelio, a double for Tony Dutrow. Endless Circle chased and held the place gamely…Mr. Bourbon Street angled wide into the stretch, effectively eliminated, then finished ridden out through the lane; note.
Tenth Race: A strange run by Retribution, who at one point appeared long gone, then like he would be off the board, then like he would last. All that happened but at the end of the racing day, Logic Way nailed him at the line, a late double for the brothers Dutrow, Prado winning this one for Rick, the trainer’s fourth of the meet.
Written by John Pricci - Comments (0)
